The deficit of 25 government-run institutions in Pakistan has reached 832 billion rupees.
The Finance Ministry has released a detailed annual report on the performance of these institutions, according to which the National Highway Authority (NHA) posted the highest loss during the financial year ending June 30, 2025.
At the end of the fiscal year 2025, the total loss of NHA was recorded at Rs 294 billion 90 crore, while the second and third loss-making institutions were Quetta Electric Supply Corporation and Peshawar Electric Supply Corporation, which recorded losses of Rs 112 billion 70 crore and Rs 92 billion 70 crore, respectively.
During the same financial year, the loss of PIA Holding Company was 48 billion 90 crore rupees and the loss of Pakistan Railways was 60 billion rupees. According to the report of the Ministry of Finance, by the end of the financial year 2025, 52 government institutions made a profit instead of a loss, the total volume of which was 709 billion rupees.
Thus, the net loss of government-run public institutions was Rs 123 billion, which was Rs 30 billion 60 crore in the year 2024. Thus, the deficit of government institutions has increased three times during the current government.
According to the report, the most profitable company was the Oil and Gas Development Corporation, which earned a profit of Rs 169.9 billion in the financial year ending June 2025. The second place was Pakistan Petroleum Limited, with a profit of Rs 89.9 billion and the third place was National Bank, which recorded a profit of Rs 52 billion 23 crore.
According to the statistics, during the financial year 2025, the government released 2078 billion rupees to run these institutions, which is 37% more than the previous financial year.
This report has been released at a time when the IMF review mission is coming to Pakistan at the end of this month. Several international financial institutions, including the IMF, have been raising questions about the poor performance of government institutions and unprofitable business models in Pakistan. The IMF also insists that the government should privatize these institutions.
The government says that the sale of PIA has been completed in the first phase of privatization and after that the power distribution companies will be auctioned. According to the Privatization Commission, the auction process of 24 government institutions will be completed in different stages during the year 2024 to 2025.
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